Summit Hotel Properties (NYSE:INN) Announces Earnings Results

Key Points

• Summit Hotel Properties reported earnings of $0.27 EPS for the quarter, exceeding estimates by $0.01, and updated its FY 2025 guidance to $0.900 EPS.
• The company announced a quarterly dividend of $0.08 per share, representing a 6.2% yield and an annual payout ratio of 200%.
• Analysts have mixed opinions on the stock, with Bank of America raising the price target from $5.00 to $5.75, while Wall Street Zen downgraded the rating from "hold" to "sell."

Summit Hotel Properties (NYSE:INN - Get Free Report) announced its quarterly earnings data on Tuesday. The real estate investment trust reported $0.27 earnings per share for the quarter, beating analysts' consensus estimates of $0.26 by $0.01, Zacks reports. Summit Hotel Properties had a net margin of 1.00% and a return on equity of 0.55%. The business had revenue of $192.92 million during the quarter, compared to the consensus estimate of $194.49 million. Summit Hotel Properties updated its FY 2025 guidance to 0.900-0.900 EPS.

Summit Hotel Properties Stock Up 2.4%

INN stock traded up $0.12 during midday trading on Thursday, reaching $5.25. The company had a trading volume of 867,500 shares, compared to its average volume of 1,300,168. Summit Hotel Properties has a 1 year low of $3.57 and a 1 year high of $7.22. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 1.08. The company has a market capitalization of $589.49 million, a P/E ratio of -58.37 and a beta of 1.73. The company has a 50 day moving average of $5.07 and a two-hundred day moving average of $5.24.

Summit Hotel Properties Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 29th. Shareholders of record on Friday, August 15th will be given a $0.08 dividend. The ex-dividend date is Friday, August 15th. This represents a $0.32 dividend on an annualized basis and a yield of 6.1%. Summit Hotel Properties's dividend payout ratio is presently 200.00%.

Insider Transactions at Summit Hotel Properties

In other Summit Hotel Properties news, Director Thomas W. Storey purchased 16,270 shares of the company's stock in a transaction dated Tuesday, May 13th. The shares were bought at an average price of $4.62 per share, for a total transaction of $75,167.40. Following the purchase, the director directly owned 231,337 shares in the company, valued at $1,068,776.94. This trade represents a 7.57% increase in their position. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this link. 3.83% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of INN. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of Summit Hotel Properties by 4.2% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 62,254 shares of the real estate investment trust's stock worth $337,000 after acquiring an additional 2,528 shares during the period. Jane Street Group LLC grew its position in shares of Summit Hotel Properties by 1.7% during the 1st quarter. Jane Street Group LLC now owns 165,679 shares of the real estate investment trust's stock worth $896,000 after buying an additional 2,793 shares during the period. Amundi grew its position in shares of Summit Hotel Properties by 3.4% during the 1st quarter. Amundi now owns 109,185 shares of the real estate investment trust's stock worth $591,000 after buying an additional 3,623 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Summit Hotel Properties by 1.4% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 721,875 shares of the real estate investment trust's stock valued at $3,905,000 after purchasing an additional 9,879 shares during the period. Finally, Strs Ohio acquired a new position in Summit Hotel Properties during the first quarter valued at approximately $102,000. 96.47% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Wall Street Zen cut shares of Summit Hotel Properties from a "hold" rating to a "sell" rating in a report on Thursday, May 22nd. Bank of America increased their target price on shares of Summit Hotel Properties from $5.00 to $5.75 and gave the company a "neutral" rating in a research note on Monday, July 21st.

About Summit Hotel Properties

Summit Hotel Properties, Inc is a publicly traded real estate investment trust focused on owning premium-branded lodging properties with efficient operating models primarily in the upscale segment of the lodging industry. As of November 1, 2023, the Company's portfolio consisted of 101 assets, 57 of which are wholly owned, with a total of 15,035 guestrooms located in 24 states.